Problem 4-7 Calculating Sustainable Growth [LO3]

The most recent financial statements for Bello Co. are shown here:

Income Statement				Balance Sheet
Sales	$	19,400		Current assets	$	11,800		Debt	$	16,000
Costs		13,200		Fixed assets		28,350		Equity		24,150
Taxable income	$	6,200		Total	$	40,150		Total	$	40,150
Taxes (22%)		1,364
Net income	$	4,836

Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 55 percent dividend payout ratio.

What is the sustainable growth rate? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)